“In today’s fiscal climate, budget transparency and accountability for our local communities is a top priority,” said DiNapoli. “By auditing municipal finances and operations, my office continues to provide taxpayers the assurance that their money is being spent appropriately and effectively.”
Internal controls in the payroll department were generally operating effectively. However, the town does not maintain records of leave accruals for employees and has no way of determining the accuracy of time for vacation, sick and personal leave accruals.
District customers were accurately billed, penalties were calculated correctly, and late fee waivers and billing adjustments were generally made in accordance with district policies and properly authorized by a designated official.
The town does not maintain perpetual inventory records to show the amount of fuel remaining in inventory at any given time and it does not take periodic physical inventories for reconciliation purposes. In addition, town officials have not taken measures to provide physical security over the fuel supply. Auditors determined that approximately 7,100 gallons valued at $23,500 were unaccounted for.
Town resources are being inappropriately reported and sequestered in the capital projects fund because the board and supervisor did not close completed capital projects and transfer the remaining money to the appropriate operating fund. For example, the town is accounting for $913,000 remaining from a “host community fee” received in 2007 in the capital projects fund. Town officials have not established future plans for this cash.